CMCSA
Comcast Corp
Price:  
34.46 
USD
Volume:  
24,823,418.00
United States | Media
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Comcast WACC - Weighted Average Cost of Capital

The WACC of Comcast Corp (CMCSA) is 6.6%.

The Cost of Equity of Comcast Corp (CMCSA) is 9.05%.
The Cost of Debt of Comcast Corp (CMCSA) is 4.45%.

Range Selected
Cost of equity 7.80% - 10.30% 9.05%
Tax rate 25.30% - 26.80% 26.05%
Cost of debt 4.00% - 4.90% 4.45%
WACC 5.7% - 7.4% 6.6%
WACC

Comcast WACC calculation

Category Low High
Long-term bond rate 3.9% 4.4%
Equity market risk premium 4.6% 5.6%
Adjusted beta 0.87 0.96
Additional risk adjustments 0.0% 0.5%
Cost of equity 7.80% 10.30%
Tax rate 25.30% 26.80%
Debt/Equity ratio 0.77 0.77
Cost of debt 4.00% 4.90%
After-tax WACC 5.7% 7.4%
Selected WACC 6.6%

Comcast's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for Comcast:

cost_of_equity (9.05%) = risk_free_rate (4.15%) + equity_risk_premium (5.10%) * adjusted_beta (0.87) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.